The Bharatmala Pariyojana (BMP) programme’s project cost has surged to Rs 10.64 lakh crore, more than doubling due to a sharp increase in input costs and rising land acquisition expenses, according to the rating agency ICRA. The Bharatmala Pariyojana, India’s largest highway infrastructure initiative, aims to develop 34,800 kilometers of national highway corridors with an investment of Rs 5.35 lakh crore.
ICRA noted that pending cabinet approval for the revised cost of Bharatmala Phase-I has negatively impacted project awarding activity, which declined by 48 per cent YoY to 2,595 km during the first seven months of FY2024, compared to 5,007 km in the same period of FY2023.